Petrobras to maintain E&P spend in 2018

Petrobras has released its new 2018-2022 business plan, in which the Brazilian giant has promised to maintain about the same level of investments in exploration and production (E&P) as it listed in last year's plan.

Photo from OE/Audrey Leon.

Petrobras is planning total investments of US$74.5 billion, with 81%, or approximately $60.3 billion, going toward E&P. The 2017-2021 business plan called for 74.1 billion in total investments and 82% toward E&P, or $60.6 billion.

In regards to operating costs, Petrobras said it will continue its reduction efforts, and plans to spend $136.8 billion on operating expenses. It will also continue with its partnerships and divestment plans. Petrobras said the goal for 2017-2018 is $21 billion in divestments.

"These initiatives, coupled with an operating cash generation estimated at $141.5 billion, after dividends, will enable Petrobras to invest and reduce its indebtedness, without the need for new net funding for the (business) plan," the company said today (21 December).

Petrobras said it expects to produce 2.88 MMb/d of oil and natural gas in 2018, with 3.55 MMboe expected in both Brazil and abroad by 2022.